McNair's sister, Pamela McNair, said the amount agreed upon is confidential, but was satisfactory to all parties.
"There is no value, no dollar amount, on my brother's life at all," she said. "But in terms of finances, it will assist the family a great deal to continue living life."
McNair was the father to 26-year-old Jamel and 19-year-old Danita and was the oldest of seven siblings he "cared for greatly," Pamela said.
"There's nothing we can do to change what happened," Walmart said. "Walmart and the McNair family have worked closely together to reach an agreement. Walmart continues to work with others involved in the accident and we will continue to do what's right."
Last June, a limo bus carrying Morgan, McNair and their companions was rear-ended by a Walmart truck on the New Jersey Turnpike. The crash killed McNair and left Morgan with a severe brain injury and their colleagues with other injuries.
A preliminary report by the National Transportation Safety Board said the Walmart truck was traveling 20 mph over the speed limit, and that its driver was almost at his drive-time limit.
In July, four parties filed suit against Walmart
, stating in a complaint that "the defendants' negligence was a substantial contributing factor in causing plaintiffs' injuries."
Pamela McNair said the family will continue carrying on James' legacy as a humanitarian, and the finances from the settlement will help.
"My brother has done a lot for the community. He mentored the youth for the community, he worked at the homeless shelter. Little things that he's done are truly missed," McNair said.
"He was a great comedian, but he was a good family person first and foremost. He loved life and wanted others to love life as well. He was a humanitarian."
The mayor of McNair's hometown, Peekskill, New York, has named June 12 in his honor, she said.
Tracy Morgan's lawyer told CNN in November
that he was still recovering from the car accident that left him with a "severe brain injury" and is fighting to return to the person he once was.
McNair said her family has not been in contact with the Morgan family.
"It's kind of heartbreaking," McNair said. "I understand he has his own medical situation, I want the best for him, I'm praying for his recovery, but I felt that someone could have reached out to the family. ... My brother and Tracy had a very long relationship as friends and it is heartbreaking we haven't heard from anyone."